HomeMy WebLinkAbout06-23-2009 CC Item 02CITY OF
LAI E LSII` ORf
DREAM EXTREME
REPORT TO CITY COUNCIL
TO:
HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM:
ROBERT A. BRADY
CITY MANAGER
DATE:
JUNE 23, 2009
SUBJECT:
APPROVAL OF MINUTES
Discussion
The following meeting minutes are submitted for approval:
a) City Council / Redevelopment Agency SPECIAL Joint Budget Study
Session Meeting Minutes from May 21st, 2009.
b) City Council / Redevelopment Agency Joint Study Session Meeting
Minutes for May 12th, 2009.
Recommendation
Approve the Minutes as submitted.
Prepared by: Debora Thomsen i%
City Clerk
Approved by: Robert A. Brady
City Manager
CC June 23, 2009 [tern No. 2
Page 1 of 18
Page 1 of 9
CITY OF LAKE ELSINORE
JOINT CITY COUNCIL / REDEVELOPMENT AGENCY
STUDY SESSION - AGENDA REVIEW
MINUTES
May 121h, 2009
CITY COUNCIL
CALL TO ORDER - 4:00 PM
Mayor Magee called the regular meeting of the Lake Elsinore Joint City Council /
Redevelopment Agency Agenda Review Study Session to order at 4:00 p.m. on
Tuesday, May 12th, 2009 in the Cultural Center, located at 183 N. Main Street,
Lake Elsinore, CA 92530.
PRESENT: Mayor Magee, Mayor Pro Tern Melendez, Councilmember
Bhutta, Councilmember Hickman.
ABSENT: Councilmember Buckley.
Also present: City Manager Brady, City Attorney Leibold, and City Clerk
Thomsen.
Staff members present included Acting Administrative Services Director Riley,
Acting Community Development Director Weiner, Public Works Director / City
Engineer Seumalo, Director of Lake and Aquatics Kilroy, Parks and Recreation
Director Gonzales, and Information / Communications Manager Dennis.
PRESENTATIONS/CEREMONIALS
Proclamation to recognize Eagle Scout Jonathan Lawrence Sandberg
Proclamation to recognize National Public Works Week
Northwest Mosquito Abatement & Vector Control District Presentation
The City Clerk confirmed for Mayor Magee Eagle Scout Sandberg would be
present tonight and City Engineer Seumalo would be receiving the Proclamation
for Public Works Week.
CC June 23, 2009 Item No. 2
Page 2 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 2 of 9
Mayor Magee stated the Presentation by the Vector Control District would be
approximately 6 to 10 minutes in length and their representative is Jacob.
PUBLIC COMMENTS- NON-AGENDIZED ITEMS - 1 MINUTE NONE
None.
PUBLIC COMMENTS - AGENDIZED ITEMS - 3 MINUTES
None.
CONSENT CALENDAR
(2) Approval of City Council Minutes NO COMMENTS / QUESTIONS
Recommendation: Approve the following minute(s):
(a) Joint Study Session - Agenda Review City Council /
Redevelopment Agency - March 24, 2009
(b) Regular Meeting of the City Council - March 24, 2009
(3) Warrant List Dated April 30, 2009
Recommendation: Authorize payment of Warrant List dated
April 30, 2009.
Councilmember Hickman questioned the charge by Brothers Towing
Warrant No. 99375. Acting Administrative Services Director Riley
provided the information.
(4) Claim Against the City
NO COMMENTS / QUESTIONS
Recommendation: Reject the Joann Stewart claim and direct the City
Clerk's Office to send a letter informing the claimant of the decision.
(5) Implementation and Administration of New 'Disadvantaged Business
Enterprises' (DBE) Goals
Recommendation:. Submit completed Implementation Agreement to
CALTRANS District Local Assistance Engineer (DLAE) for their approval.
Councilmember Hickman asked City Attorney Liebold if the City has been
out of compliance. She referred the question to City Engineer Seumalo.
Mr. Seumalo stated the City has been in compliance, and this item is to
CC June 23, 2009 Item No. 2
Page 3 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 3 of 9
adopt Caltrans' guidelines, which would allow the City to apply for
additional Federal funding.
Councilmember Hickman questioned the signal timing at Dexter and
Central Avenues. Mr. Seumalo stated the signal is not working properly;
the loops are not working due to the conditions of the street, the timer is
on fixed time. He noted the City along with Caltrans, have been in the
field directing traffic to avoid prolonged delays.
Mayor Magee stated he had received a phone call from Virgil at Caltrans
who brought to the Mayor's attention a Federal law related to disabled and
crippled veterans and questioned if this item was in relation to solicit
services from veterans. Mr. Seumalo responded this was in fact related.
(6) Communications Site Lease Agreement - McVicker Park
NO COMMENTS / QUESTIONS
Recommendation: Authorize the City Manager to sign the
Communications Site Lease Agreement and all necessary documents to
finalize the agreement with Royal Street Communications to install a
wireless cellular tower and equipment enclosure at McVicker Park.
PUBLIC HEARING(S)
(7) Tentative Parcel Map No. 36017 and Residential Design Review
No. 2007-12 for a Project Identified as "Lakeshore Villages"
Recommendations:
(1) Adopt a Resolution adopting findings that the project is consistent
with the Multiple Species Habitat Conservation Plan (MSHCP).
(2) Adopt a Resolution approving Tentative Parcel Map No. 36017.
(3) Adopt a Resolution approving Residential Design Review
No. 2007-12.
Mayor Pro Tern Melendez questioned if the applicant was here (he was not) and
asked why half of the project site is being considered for conservation. The
Mayor confirmed this statement was accurate from reading Page 6 of 57, Line
Number 5, Paragraph 5, Sentence 1.
Acting Community Development Director Weiner responded the language was
"Boiler-Plate" language and incorrect. He stated staff would have the Resolution
CC June 23, 2009 Item No. 2
Page 4 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 4 of 9
corrected before the Council meeting at 7:00 p.m. and thanked Mayor Pro Tern
Melendez for catching this.
Mayor Pro Tern Melendez questioned the hours of construction, noting Lake
Elsinore's standard construction hours are from 7:00 a.m. to 7:00 p.m. and asked
why the hours were changed to 7 a.m. to 5 p.m. She questioned if there were
complaints from the neighborhood. She noted the Planning Commission meeting
minutes state the applicant requested the specific hours of 7:00 a.m. to 7:00 p.m.
Mr. Weiner stated the original project had residents who were concerned with the
noise and had asked the construction time be adjusted to 5:00 p.m. He further
noted the hours were left the same as a convenience to the residents. He stated
if the hours were to be changed; this could be decided by Council tonight.
Councilmember Bhutta questioned the City Attorney regarding the affordability
definition, and whose terms the City is following. She also requested if the
project was following Pro-forma guidelines.
City Attorney Leibold responded, stating the California Government Code gives
specific definitions of very-low-income, low-income and moderate-housing and
how they apply to Redevelopment Agencies. One requirement states 15 percent
of the units are required to meet the inclusionary obligations. Regarding the
Pro-forma, originally the project was brought to the Redevelopment Agency
requesting financial assistance, but since that time, the developer has decided to
move the project forward without assistance. Currently, there is no need for a
Pro-forma, unless the developer chooses this option in the future. These
affordable units will count toward our inclusionary requirement with Southern
California Association of Governments (SCAG).
Mayor Magee referred to the construction noise hours, stating although the hours
can go until 7 p.m. it is frustrating to come home from work at 5 p.m. and hear
saws and hammers going. He stated originally the time limit of 5 p.m. was
approved for the mobile home park located nearby when there was not any
homes near the site. Since that time, the surrounding area has been developed
creating a buffer to the noise, however, the Mayor recommended Mr. Weiner
keep the construction hours ending at 5 p.m.
(8)
No. 2008-09 for a project identified as `Lake Street Market Place'
Recommendation:
(1) Adopt a Resolution adopting findings that the project is consistent
with the Multiple Species Habitat Conservation Plan (MSHCP).
CC June 23, 2009 Item No. 2
Page 5 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 5 of 9
(2) Adopt a Resolution adopting Mitigated Negative Declaration No.
2008-10.
(3) Adopt a Resolution approving General Plan Amendment No.
2008-01.
(4) First reading of an Ordinance approving Zone Change No.
2008-02, waive further reading.
(5) Adopt a Resolution approving Commercial Design Review No.
2008-09.
George McDonough spoke stating the planning process of the City needs to be
reviewed especially since their decisions are irreversible. He stated the posting
of meetings by the developer were not in compliance with notification rules,
stating the Mayor acted appropriately when he removed the item from the
Agenda. Mr. McDonough gave several existing examples of problems related to
safety and traffic. He stated the Planning Commission should have confidence in
their staff; if staff makes a recommendation, they should follow it. At the
Planning Commission, the developer did not speak, yet residents commented on
the parking and traffic issues, etc. Mr. McDonough stated the Planning
Commission voted to issue a Negative Declaration and a Variance to change
zoning from residential to commercial and made other allowances. He further
stated the Developer held distorted neighborhood meetings noting they were out
of control noting 1 Councilmember and 2 reporters who left early in disgust.
Questions which were asked of the developer were not answered.
Mr. McDonough handed in a petition with 28 signatures against and 2 for the
project, yet the Developer instructed Council to take their petition with a grain of
salt. He stated the property is zoned residential, road repairs are needed, yet
why did the property owner purchase residential property and feel confident in 2
to 3 years he would receive a zone change to commercial. This sets precedence
for others to request zone changes.
Araceli Jiminez spoke regarding the Mitigated Negative Declaration stating on
Page 25 and 72, questions if the project has an environmental impact on others.
Issue C on Page 75 actually states the project does not have potential to affect
humans with impact is expected to be less than significant. She stated this is not
true, stating this project will have a severe impact on her husband's health and
has Valley Fever. Ms. Jiminez stated she met with the developer, and told him of
her circumstances and asked him to make an offer for their property, but he only
offered temporary living arrangements. She requested when Council considerers
their decision, to remember the Mitigated Negative Declaration and all aspects of
this project will have on residents.
CC June 23, 2009 Item No. 2
Page 6 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 6 of 9
APPEAL(S)
None.
BUSINESS ITEM(S)
(9) Lake Elsinore Municipal Code Waivers for National Jet Boat Association
Special Event
Recommendation: Waive the Lake Elsinore Municipal Code sections listed
below for the proposed National Jet Boat Association Special Event,
subject to compliance with all other conditions for the event as approved
by the City Manager.
Waive Lake Elsinore Municipal Code Sections:
9.96.120 Boat Speed Limits
9.96.200 Motorboat Noise
8.40.040A Alcohol is prohibited in City parks
9.28.030 Furnishing alcoholic beverages in public
8.40.060E Lake Use Pass
Lake and Aquatics Director Kilroy gave an overview of why the Jet Boat
Association was requesting specific changes for this special event.
Councilmember Hickman suggested there be a welcoming tent to thank them for
returning to Lake Elsinore and to make them feel welcome.
Mayor Magee stated the last time they were here there was only one unfortunate
mishap due to uncontrollable circumstances. He verified Director Kilroy was
comfortable with the new layout noting if the winds change the audience is at a
safer distance
(10) Second Reading - Amendment to Section 16.83.040. Part 'A' of the Lake
Elsinore Municipal Code Regarding the Transportation Uniform Mitigation
Fee (TUMF) NO COMMENTS / QUESTIONS
Recommendation: Adopt the attached Ordinance entitled:
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAKE ELSINORE, CALIFORNIA, AMENDING AND
RESTATING SECTION 16.83.040, PART A OF THE LAKE
ELSINORE MUNICIPAL CODE REGARDING THE
TRANSPORTATION UNIFORM MITIGATION FEE (TUMF)
CC June 23, 2009 Item No. 2
Page 7 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 7 of 9
(11) Fiscal Year 2008-09 Third Quarter Budget Report
Recommendation: Receive and File.
Councilmember Hickman noted the item regarding weed abatement to be done
twice a year, stating it is fire season year round and asked if the owners were
notified. City Manager Brady noted abatement was done twice a year due to the
terms of an Ordinance, which could be re-evaluated and confirmed the owners
were notified.
REDEVELOPMENT AGENCY
CALL TO ORDER - 4:37 PM
Vice Chair Butta called the regular meeting of the Lake Elsinore Joint City
Council / Redevelopment Agency Agenda Review Study Session to order at
4:37 p.m.
ROLL CALL
PRESENT: Mayor Magee, Mayor Pro Tern Melendez, Councilmember
Bhutta, Councilmember Hickman.
ABSENT: Councilmember Buckley.
Also present: City Manager Brady, City Attorney Leibold, and City Clerk
Thomsen.
Staff members present included Acting Administrative Services Director Riley,
Acting Community Development Director Weiner, Public Works Director / City
Engineer Seumalo, Director of Lake and Aquatics Kilroy, Parks and Recreation
Director Gonzales, Police Chief Cleary, Fire Chief Hendershot, and Information /
Communications Manager Dennis.
PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE
None.
PUBLIC COMMENTS - AGENDIZED ITEMS - 3 MINUTES
CC June 23, 2009 Item No. 2
Page 8 of 18
Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 8 of 9
None.
CONSENT CALENDAR
(2) Approval of Redevelopment Agency Minutes
NO COMMENTS / QUESTIONS
Recommendation: Approve the following minute(s):
(a) Regular meeting of the Redevelopment Agency - March 24, 2009
(3) Warrant List Dated April 30, 2009
NO COMMENTS / QUESTIONS
Recommendation: Authorize
April 30, 2009.
payment of Warrant List dated
PUBLIC HEARING(S)
None.
BUSINESS ITEM(S)
None.
CITY ATTORNEY / AGENCY COUNSEL COMMENTS
City Attorney Leibold announced the Closed Session for the Redevelopment
Agency has been postponed.
REDEVELOPMENT CLOSED SESSION
(1 A) CONFERENCE WITH REAL PROPERTY NEGOTIATOR
(Gov't Code § 54956.8)
Property: 154 North Main Street, 156 North Main Street, 158 North Main
Street
Agency Negotiator: Executive Director Brady
Negotiating parties: Lake Elsinore Redevelopment Agency and Tenants
Irma Y Leonardo Lee (154 North Main Street); and
Eduardo Ramirez Mosqueda (156 North Main Street); and
CC June 23, 2009 Item No. 2
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Lake Elsinore City Council Agenda
Joint Study Session for Agenda Review
Meeting of May 12, 2009
Page 9 of 9
Paula Lopez / Super Saver, Inc (158 North Main Street)
Under negotiation: Rent and terms of payment
CITY COUNCIL CLOSED SESSION
City Attorney Leibold gave an overview of the following City Council items which
would be discussed in Closed Session:
(1A) CONFERENCE INVOLVING A JOINT POWERS AGENCY
(SOUTHWEST COMMUNITIES FINANCING AUTHORITY)
(GOV'T CODE § 54956.96)
Discussion will concern:
Conference with real property negotiator:
Property - APN 370-060-050 southeast of Corydon/west of Mission Trail
Agency negotiator - Dean Deines
Negotiating parties - Animal Friends of the Valleys and Elsinore Valley
Municipal Water District
Under negotiation - Price/terms/Conditions of Payment
Name of local agency representative on joint powers agency board:
Councilman Thomas Buckley
(113) CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to subdivision (b) of Gov't Code
§ 54956.9:
1 potential case
(1C) CONFERENCE WITH LABOR NEGOTIATOR
(Gov't Code § 54957.6)
City Negotiator: City Manager Robert Brady
Employee Organization: Lake Elsinore Chapter of Laborer's International
Union of North America, Local 777
ADJOURNMENT
There being no further business to come before the City Council and the
Redevelopment Agency, the meeting was adjourned at 4:40 p.m.
Debora Thomsen
Debora Thomsen, CMC
City Clerk, City of Lake Elsinore, California
CC June 23, 2009 Item No. 2
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Page 1 of 8
CITY OF LAKE ELSINORE
SPECIAL JOINT BUDGET STUDY SESSION
CITY COUNCIL / REDEVELOPMENT AGENCY
MEETING MINUTES
May 21", 2009
CALL TO ORDER - 5:00 PM
Mayor Magee called Joint Study Session of the Lake Elsinore City Council, and
Redevelopment Agency to order at 5:00 p.m. on Wednesday, May 21 s`, 2009 in the
Cultural Center, located at 183 N. Main Street, Lake Elsinore, CA 92530.
PLEDGE OF ALLEGIANCE
The pledge of allegiance was led by Mayor Pro Tern Melendez.
ROLL CALL:
Staff members present included Acting Administrative Services Director Riley, Acting'
Community Development Director Weiner, Public Works Director / City Engineer
Seumalo, Director of Lake and Aquatics Kilroy, Parks and Recreation Director
Gonzales, Police Chief Cleary, Fire Chief Hendershot, and Information /
Communications Manager Dennis.
Also present: City Manager Brady and City Clerk Thomsen.
STAFF OVERVIEW
CITY OPERATING BUDGET
Mayor Magee addressed everyone present noting the budget discussion or decisions
made today would not be a popular subject due to the fact the easy decisions were
previously made. He noted the City's revenue has declined 16 percent since 2007. He
requested Acting Administrative Services Director Riley to give an overview of the
current situation.
Acting Administrative Services Director Riley stated the City is looking at a projected
$3.0 million budget deficit for Fiscal Year 2009 - 2010. He further stated this budget
shortfall is the net result of a $4.2 million decrease in revenue, offset by a $1.2 million
decrease in expenditures. A continued decrease in sales tax and property taxes, along.
CC June 23, 2009 Item No. 2
Page 11 of 18
Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21s`, 2009
Page 2 of 8
with the use of one-time funds to cover the unexpected budget shortfall in Fiscal Year
2008 - 2009 are the primary contributors to this deficit. Mr. Riley continued stating this
is the third fiscal year the City has had to reduce the budget to compensate for declining
revenues, noting the following issues have contributed to the revenue shortfall for Fiscal
Year 2009 - 2010.
• Local Sales tax.revenue is down by $505,330. or 8%a, due to laggard auto
sales and the reduction in consumer spending; and
• Property tax revenue in Riverside County continues to decrease due to
reassessment of property values downward, translating to a %336,800. or
5% decline in revenue to the City; and
• One-time money in Fiscal Year 2008 - 2009 from non-general fund
sources and the sale of property are not available for Fiscal Year
2009 - 2010, and account for $1.3 million in reduced revenue; and
• Supplemental revenue of $1,015,000. was used in Fiscal Year
2008 - 2009 to cover that year's budget shortfall. These funds were used
from a "rainy day" reserve fund, which currently has a balance available of
$2.8 million.
Mr. Riley noted an expenditure we have due to,the State of California. Lake Elsinore
stated the City contracts with Cal-Fire, the State Fire Service. The Governor in May
implemented in May, 2009 implemented 2 furlough days a month, in which this funding
has been passed down to the City.
Mr. Riley noted the California Statewide ballot Propositions 1A through 1E were not
approved. In May, the Governor's revised budget included a contingency plan in the
event the State were to barrow money from local government. He reminded everyone
in 2004 the voters did pass Proposition 1A which was a fail-safe for municipalities
limiting the state to borrow up to 8 percent and included other initiations. If the State
were to take the funds the impact would be a $685,000. reduction increasing our deficit.
Mr. Riley continued stated there are expenditures which should be addressed which will
impact the budget:
• The operating cost of the new Rosetta Canyon fire station is estimated at
$1.2 million annually. An increase in development in the future would
provide funding to offset that annual cost; and
• The City would be responsible to resume its contribution to the Lake
Management Fund. The City has received verbal agreement with Eastern,
Valley Municipal Water District in regard to forgoing the Fiscal Year
2009 - 2010 payment. This payment amount is $650,000. annually; and
• The Animal Friends of the Valley new animal shelter is scheduled from
completion in mid 2010. The City's cost for animal services will increase
from $90,000. to $600,000. annually; and
CC June 23, 2009 Item No. 2
Page 12 of 18
Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21't, 2009
Page 3 of 8
• In Fiscal Year 2011 - 2012 the employer contribution rate to the California
Public Employees' Retirement System (CALPERS) is anticipated to
increase by 15 to 25 percent to offset the significant losses in the pension
investment revenue that occurred in Fiscal Years 2007 - 2008 and
2008 - 2009. The City's current employer contribution rate is
16.485 percent.
Mr. Riley stated the goal of this meeting is to determine how to cover the 3.1 million'
deficit shortfall. Staff has prepared 3 alternatives (Page 5 of 7 in handout) based upon
discussion with the Budget Committee, Council, Department Directors, and the
employee's Labor Union. He noted this morning, the Labor Union has offered a
4th alternative, and copies will be arriving shortly. Mr. Riley then stated his presentation
was complete and he would be available for any questions as needed.
Mayor Magee thanked Mr. Riley for his overview, and stated the meeting would move
forward to the Public Comment portion of the meeting.
PUBLIC COMMENTS
Ron Hewison representing Help our People in Elsinore (HOPE) stated he recognized
the tough situation the City was in due to the slow economy. He noted his organization
is dependent upon financial assistance from various government sources, such as
CDBG grants but noted it is the assistance from the City that carries them through the
lean months. Mr. Hewison stated he has reviewed the documentation available and did
not specific funding for organizations, and wanted to let the City know he would be
greatly appreciative of any continued support.
Kathy Delgado, representing the employee's Labor Union stated she felt at a
disadvantage since the Council does not have Alternative No. 4 to review as she is
referencing the proposal. She recommended they look at Alternative No. 3, eliminate
the employee's PERS contribution out, foregoing Cost of Living Adjustments (KOLA)
and Merit increases. The Alternative leaves the furlough day at 1. She noted the
purpose of this was to keep the current situation as it is now, with the goal to maintain
City Services and the workforce while this financial crisis exists. Employees would not
gain or lose (except a 5 percent pay cut from what they would not be receiving).
Ms. Delgado noted this would require approximately $1,368,338. to be taken from the
rainy day fund. She noted if this Alternative is not acceptable, then the employees
preferred choice is Alternative No. 2; to take 2 fixed furlough days a month, on Fridays.:
Ms. Delgado noted this is idea is becoming a popular choice for many cities, noting
26 cities throughout Riverside County are enacting this with their new budgets, including
the State of California. She closed by stating another city who had chosen to reduce
their hours informed their community it was due to the fiscal emergency situation, and
they were being fiscally responsible to lack of funds.
CC June 23, 2009 Item No. 2
Page 13 of 18
Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21 s', 2009
Page 4 of 8
Jess Culpeper, City employee, spoke stating he wanted to reaffirm staffs commitment
to the City of Lake Elsinore and to the residents. He noted staffs preference is
Alternative No. 4, which keeps service levels at present and avoids layoffs. He noted
staff would like the best solution for all, and wanted management to know they can
count on staff for support regarding any decision.
Shawn Slater, City employee stated he had been elected as one of the staff
spokesperson. He informed the Council any decisions made by staff were not easy,
many hours have been spent weighting different suggestions, both positive and
negative. Their decisions do not come lightly; they have analyzed and have decided
Alternative No. 4 is their recommendation to the Council. Mr. Slater noted the
employees are deeply committed and have been demonstrating this by their existing
actions. Many turn the lights and electricity on and off when needed to save costs,
many work additional hours. yet do not take additional pay, many sign up for needed
training yet do not request reimbursement from the City. Everyone is committed and
will continue to give their best.
There were no other Public speakers; the Mayor brought the discussion to the dais.
CITY COUNCIL COMMENTS / REDEVELOPMENT AGENCY
Mayor Magee thanked the Budget Committee, City Manager Bob Brady, and Acting
Administrative Services Director Riley for their time and commitment to analyze and
determine what could be done to balance the budget deficit. He noted this process
began in January, when it became apparent the City would be up against another
difficult situation. He noted Management along with staff has worked together to.
resolve deficits in the past. He noted time was going to be needed to rebound from this
deficit. The current contract with the employees has 2 years remaining. Previously,
when layoffs were needed and did take effect, Management committed to staff to
maintain. When service levels had to be increased for Public Works, the Parks'
Department and the Lake, the Council pulled 1 million dollars from the rainy day fund.
The Mayor discussed Public Safety, since 2003, a second and third Fire Station was
opened, and the fourth Station, (Rosetta) is ready to open, yet funding for the staff has
become a problem. Negotiations with the County including Supervisor Bob Buster has
not brought a resolution, therefore, staffing this station is now a sacrifice. Referencing
the Police Station, he noted the City has decreased the. crime rate by adding more
CC June 23, 2009 Item No. 2
Page 14 of 18
Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21", 2009
Page 5 of 8
boots on the streets, boats on the Lake, and 2 Motor Patrols. He noted the proposed
cuts from Police include 2 motor patrol, 2 Community Service Officers, 1 Gang Task
Force Officer and a reduction of response time. If no changes are made and the Police
remain as is, there will be a half-a-million increase to their budget, due to the existing
contracts, increasing the shortfall. He noted a reduction in services would have to be
made. Mayor Magee stated the Police had turned in an additional Alternative this
afternoon for consideration.
Mayor Magee noted with each Alternative and Negotiation, the answer is always to
withdraw money from the rainy day fund, however, this is not a solution but a sacrifice;
there is not enough money and nothing is resolved. The Mayor stated Alternative No. 1'
seem to be both fair and equitable. It called for a 10 percent salary reduction for all
employees, both full and part time. By choosing this option, the employees keep their
jobs and the community maintains their services. He went on to say additional furlough
days will need to be taken, but closing every Friday was not an efficient tool. The Mayor
thanked the employees for always giving their best, and wanted them to know they are
valuable and their commitment does not go unnoticed. His hope is not to have to
eliminate jobs. He regretted there was not more residents from the community present,
stating the goal is to protect and serve the community without raising taxes.
Councilmember Buckley stated he would of appreciated reviewing Alternative No.4
earlier than when received. He noted he preferred Alternative No. 2 with the exception
of closing City Hall every Friday. He preferred the option of clumping furlough days off
with holidays including the seasonal adjustments. He noted tomorrow decisions
regarding the Animal Shelter would be made, which would affect the budget. Regarding
reducing Police positions, he would like to keep the Narcotic Task Force Officer and
asked Police Chief Cleary how many members the Force had. Chief Cleary stated'
there were a total of 5 officers; however, these are not all Lake Elsinore officers, the
County. He stated if other cities make this same choice, then as a whole body, this
Task Force may no longer exist. Councilmember Buckley noted the motor patrols
were needed, stating if they were cut, Alternatives No. 5 and 6 would be too deep.
Councilmember Buckley noted he would consider cutting COLA's.
Councilmember Hickman thanked Management, Staff and the Police Department for a
job well done. He noted he did not want to lay anyone off in these tough economic
times, it ruins families and lives. He stated his preference was Alternative No. 2 noting
if employees were wiling to take an additional day off Friday was acceptable. He noted
he is also in favor of closing between Christmas and New Years. He stated Scenario
No. 6 from the Police Department was the best choice. He noted he is willing to take
funds from the rainy day fund, however, the City needs to be concerned regarding
future decisions the State will make, taking money from cities to balance their State
budget.
CC June 23, 2009 Item No. 2
Page 15 of 18
Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21 2009
Page 6 of 8
Councilmember Bhutta stated in her profession they were going to be taking furlough
days also. She noted her 1st preference is Alternative No. 3 with the pre-tax deductions,
however, after listening to tonight's discussion; her 2nd choice is Alternative No. 2. She
requested staff if Alternative. No. 2 was the final decision, to please take this day to
make personal appointments on Fridays and not on working days when possible.
Mayor Pro Tern Melendez thanked everyone present, especially those who are making
sacrifices, especially because they are committed to their jobs and to the community.
She thanked the employees for offering to contribute to CALPERS. She noted the State
is projected to take an additional $700,000. from Lake Elsinore, noting this is not a
definite number yet, any funds they receive would increase our deficit. She stated she
is not in favor of closing every Friday, or of the clumping of furlough days with holidays
and seasons, this is too confusing. She noted if the City were closed on Friday, and
Monday was a holiday, then the City would not be available for service to the
community until Tuesday. She reminded everyone the City has an obligation to be
there for business owners too and stated she is against closing every Friday.
Mayor Pro Tern Melendez asked the Police Chief how much Scenario No. 6 would
affect safety and traffic issues. Chief Cleary summarized the potential impact to traffic
and safety, and stated losing 2 motor patrol officers would cause a grave impact. He
noted crime has dropped due to the motor patrols, they are a pro-active enforcement.'
They have made 111 Driving Under the Influence (DUI's) arrests annually, have saved
a suicide due to their quick response. He noted losing the Narcotics Task Force officer
would hurt also, since there was only 1 officer on the Narcotics Task Force. Mayor Pro
Tern Melendez stated she doesn't prefer one option over the other.
City Manager Brady gave input for each Alternative how much was proposed to be
taken from the rainy day fund. Mayor Pro Tern stated she was having difficulty deciding'
taking half of the rainy day fund.
Mayor Magee summarized what had been stated so far by Council, for Staff, Alternative
No. 2 seemed the most popular, and for the Police Department, Scenario No. 6. He
then stated in reference to Alternative No. 2, there are 365 days in a year, 104 days are
Saturdays and Sundays, employees have 12 Vacation Days at a minimum, 13 Holidays,
and then add 52 furlough days of Alternative No. 2, which equal 181 days off in total.
The working days equal 184. The Mayor then stated if you add the 12 sick days, the
count is 193 days off and 172 days on. The Mayor stated he is not in favor of
Alternative No. 2.
Councilmember Buckley stated possibly Scenario No. 4 for the Police would not cut too
deeply. He stated there are new programs coming down from Washington DC, for a
new COPS program, but details are not yet known. He suggested if this program was
received by Lake Elsinore, then the Redevelopment Agency would not have to
contribute 1.2 million as originally planned. City Manager Brady clarified the $500,000.
is on top of Scenario No. 4.
CC June 23, 2009 Item No. 2
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Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 21s`, 2009
Page 7 of 8
Councilmember Hickman stated he preferred Alternative No. 2; if the employees were
going to take an additional pay cut / furlough day; then they should decide what day it is.
Mayor Pro Tern Melendez stated she would prefer Alternative No. 4, due to taking so
much money out of the supplemental fund is dangerous.
Councilmember Hickman stated and again voiced his preference for Alternative No. 2.
He stated the supplemental fund is to help and we should help our people, the economy
will only get worse,
Treasurer Baldwin, acknowledged this decision will be made with much effort and
collaboration between all parties involved. He noted this is a result of the economy, and
taking 51 percent of the budget is what the decision is. He noted changes in State
government must be made, and it will require a ballot vote, there must be a
constitutional change at the state level and until then, the State has to take the money
from us. He stated Fiscal Year 2010 - 2011 won't be any easier to decide; decisions
such as this are being made at all levels of government and private industry. The
decision must be made to work together and to work better with less, and it can be
done.
City Manager Brady asked the Mayor is he could give direction to staff without Council'
voting to enable Management to further negotiate with the Labor Union and possible
revisions to the plans.
Mayor Magee responded after listening to the Council, the predominate direction was.
Alternative No. 2 for City Staff and Scenario No. 6 for the Police Department. He noted
that these options were not fully supported and debate would be held regarding what
would be acceptable from each choice. Furlough days if and when to take them would
be up for discussion along with Scenario No. 4, 5 and 6 for the Police.
City Manager Brady also confirmed from the discussion it seemed that money available
from the rainy day fund would be around 1 million. He noted for the Community Service
Groups the City provides funds for, the proposed budget reflects a 5 percent reduction
in funding.
Further discussion was held among the Council and Management regarding Alternative
No. 2, taking every Friday off or the clumping of furlough days with holidays. Seasonal
days off was discussed, what would be confusing to the public, and employees taking a
fixed furlough day or banking the day and taking off when needed. Management stated
the furlough days need to be a set day to assist in the operation of the City.
CC June 23, 2009 Item No. 2
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Lake Elsinore Joint City Council / Redevelopment Agency
Special Joint Budget Study Session Meeting Minutes of May 2151, 2009
Page 8 of 8
ADJOURNMENT
There being no further business to come before the City Council and Redevelopment
Agency, Mayor Magee adjourned the meeting at 6:07 p.m.
Debora Thomsen
Debora Thomsen, CIVIC
City Clerk, City of Lake Elsinore, California
CC June 23, 2009 Item No. 2
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